Top 10 Business Loans in India 2019

Some point down the line every business needs external funding. Without raising funds from outside for a too long time, your business may not be able to take advantage of market opportunities. Even if your business is set up, it requires additional capital for smooth operation.

Keeping this in mind, almost all leading banks and NBFCs (Non-Banking Financial Companies) offer business loans to help you fulfil your business aspirations. The business loan can be used to meet a wide range of business requirements, including working capital needs, debt consolidation, purchase of machinery, supply chain financing, asset acquisition, etc.

Best business loans in India 2019

Here are the top business loan providers in India.

State Bank of India business loan

State Bank of India offers a business loan for a variety of business requirements of large business groups as well as a small and medium enterprise (SME) engaged in manufacturing, service activity, wholesale/ retail trade along with self-employed individuals and professionals.

Key details of SBI personal loan are as under:

Minimum loan amount

10 lakhs

Maximum loan amount

20 crore; base on past performance or projected sales

Repayment tenure

Up to 15 years

Processing fees

1% of the limits subject to a maximum cap of 10 lakh

Interest rate

Varies from loan to loan

Why should you get a business loan from the State Bank of India?

• The bank offers loan under various categories for your several business requirements

• The bank has the largest network accessible for people residing across the country

• Comparatively lower interest rates

• Higher loan eligibility

ICICI Bank business loan

ICICI Bank offers customized financial solutions for SMEs for their unique challenges and requirements at attractive interest rates. The bank offers an overdraft facility up to Rs. 25 lakh to existing bank customers. The notable features of ICICI bank business loans are as under.

Interest rate

For secured facilities: up to repo rate + 6.0 % (Non PSL)

For unsecured facilities: up to repo rate + 7.10%

Loan amount

The loan amount will be based on the future cash flows of the business

Processing fee

Up to 2% of loan amount + GST

Commission on Letters of Credit and Bank Guarantee

Up to 2% p.a. the commission shall be charged on a pro-rata basis based on the tenure and the loan amount of non-fund based facility

Loan tenure

Up to 72 months

Foreclosure charges

A prepayment premium of 4% shall be payable by the Borrower/s on the amount of limit set up in the system. No foreclosure charges for customers categorized under MSE

Why you should apply for ICICI Bank personal loan

• The bank offers one of the best deals in the industry

• Overdraft facility up to Rs. 15 lakh

• Instant and hassle-free loan

• Flexible tenure ranging from 12 months to 72 months

• A wide range of business loans for SMEs

HDFC business loan

HDFC Bank is a leading private sector bank that offers various banking products at an attractive interest rate. The bank offers a business loan for a different type of requirements. You can take up to Rs. 50 lakh business loan without any collateral. HDFC bank offers hassle-free documentation and doorstep facilities. Important features of the HDFC bank business loans are as follows.

Interest rate

From 12.75% to 21.90%p.a.

Prepayment charges

No prepayment is allowed until first 6 EMIs

07-24 Months - 4% of principal outstanding

25-36 Months - 3% of principal outstanding

After 36 Months - 2% of principal outstanding

Processing fee

Up to 2.5% of the loan amount subject to a minimum of Rs. 2359 and maximum Rs. 88500

Loan amount

Upto Rs. 40 lakh (Rs. 50 lakh in select locations)

Loan tenure

From 12 months to 48 months

Why should you apply for HDFC Bank business loan?

• Zero hidden charges, lowest processing fee, and convenient borrowing

• Minimal paperwork and documentation

• Dropline overdraft facility

• Flexible tenure

• Business loan balance transfer facility with ease

• Tax benefits as per applicable laws

Fullerton India business loan

Fullerton India offers a business loan for your various business finance needs. With Fullerton business loan, you can enjoy a flexible repayment facility with minimal prepayment charges. Moreover, you can get a quick business loan up to Rs. 50 lakhs with minimal documentation and hassle-free disbursal. Key details about Fullerton business loan are as under.

Interest rate

From 13% to 21% p.a. depending on your eligibility

Foreclosure charges

Within 6 months from the agreement date: 0.04% of principal outstanding

07 -12 Months – 0.0 4% of principal outstanding

13 - 24 Months – 0.04% of principal outstanding

25 - 60 Months – 0.03% of principal outstanding

61 - 84 Months – 0.03% of principal outstanding

After 84 Months – 0.03% of principal outstanding

Processing fee

Up to 6.5% of the loan amount

Loan amount

Upto Rs. 50 lakh based on your income and other parameters

Loan tenure

From 12 months to 60 months

Why should you get a business loan from Fullerton India?

• Flexible loan facilities

• Serving capital requirements

• Instant small business loans in 24 hours

• Tailor-made a business loan for various needs of your business

• Collateral-free offerings

Kotak Mahindra business loan

Diversify your business with a Kotak Mahindra Bank business loan. It offers a business loan ranging from Rs. 3 lakhs to Rs. 75 lakhs to help you fulfil your newer business milestones. The bank also provides funds against credit card receivables (FCCR) up to Rs. 3 crores. Important features of Kotak Mahindra Personal Loan are as under.

Interest rate

From 16% p.a.

Loan amount

From Rs. 5 lakh to Rs. 75 lakh

Loan processing charge

Up to 2% of the loan amount/ facility amount + GST and other applicable statutory levies

Prepayment charge

Lock-in period for 12 months (6% of the foreclosure loan amount). After 12 months, 5% foreclosure charge + GST on principal outstanding

Loan tenure

From 6 months to 48 months

Cheque bounce charges

Rs. 750 per instance

Why you should apply for Kotak Mahindra business loan

• You can take a business loan ranging from Rs. 5 lakhs to Rs. 75 lakhs

• Hassle-free and quick approval

• FCCR up to Rs. 3 crores

• No collateral or security required

Axis Bank business loan

Axis Bank offers great features and benefits on its business loans such as attractive interest rate, lower processing fees, no foreclosure charges, no prepayment charges etc. you can get a business loan from Axis Bank for a variety of business needs including business expansion, business property, purchase of machinery, and a lot more. Some important features of an Axis Bank business loan are as under.

Interest rate

From 14.5% p.a. onwards

Processing charge

Up to 2% of the loan amount + GST as applicable

Prepayment/foreclosure charge

Nil

Collateral required

NA

Loan amount

Up to Rs. 50 lakhs

Renewal processing fee

NA

Loan tenure

Up to 60 months

Why you should apply for axis bank personal loan

• The minimum age requirement to get a business loan

• Quick approval with minimal documentation

• No foreclosure charges

Bajaj Finserv business loan

Bajaj Finserv is a leading NBFC (Non-Banking Financial Company) that offers a number of financial products. It offers business loans at competitive interest rates to cover various business activities, including the expansion of business, acquisition of other business, purchase of high-value equipment for production, and working capital needs. Some notable features of the Bajaj Finserv business loan are as under.

Interest rate

Starts from 18% p.a.

Processing fees

Up to 2% of the loan amount

Foreclosure charges

4% + applicable taxes outstanding as on the date of full payment

Interest and principal statement charges

NIL

Loan amount

Up to Rs. 30 lakhs without collateral

Loan tenure

12 months to 60 months

Why you should apply for Bajaj Finserv business loan

• Flexi loan facility

• Hassle-free unsecured loans

• Instant disbursal within 48 hours

• The loan procedure is an entirely online process

Bank of Baroda business loan

Bank of Baroda offers business loans for corporates, MSME (Micro Small and Medium Enterprises), and self-employed individuals. It offers tailor-made loans under various categories such as working capital loan, short-term corporate loans, business finance, term finance and so on.

Why you should apply for Bank of Baroda business loan

• Different scheme for different business

• Attractive interest rate

• Quick application process and fast disbursal

Tata Capital business loan

Tata Capital is one of the leading NBFCs in India. With more than 200+ branches across the country, it offers a number of financial products, including business loan. It lends unsecured business loans at the competitive interest rate for a wide range of business needs. The loan amount can range from Rs. 5 lakh to Rs. 50 lakh. Some prominent features of the Tata Capital business loan are as under.

Interest rate

Starts from 19% p.a.

Processing fees

Up to 2.75% of the loan amount + GST

Foreclosure charges

4.5% + applicable taxes on the principal outstanding

Loan cancellation charges

2% of the loan amount or? 5750 whichever is higher + GST

Loan amount

Rs. 5 lakh to Rs. 75 lakh

Loan tenure

12 months to 36 months

Why you should apply for Tata Capital business loan

• Multiple product offerings

• Hassle-free unsecured loans

• Structured EMI options

• Higher eligibility

• The loan procedure is an entirely online process

Lendingkart business loan

Lendingkart is a non-deposit taking financial institution operating throughout the nation. It offers business and working capital loans to SMEs (Small and Medium-Sized Enterprises) and MSMEs (Micro Small and Medium Enterprises). Eligible businesses can get a business loan from Rs. 50,000 up to Rs. 2 crores for growth and expansion of the venture. Key features of the Lendingkart business loan are as under:

Interest rate

1 to 2% per month

Processing fees

1-2% of the loan amount (One time)

Foreclosure charges

NIL

Loan amount

Rs. 50,000 to Rs. 2 crore

Loan tenure

Up to 36 months

Why should you get Lendingkart business loan?

• Higher eligibility

• Flexible repayment and no prepayment charges

• Instant online disbursal

• No collateral required

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